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Depreciation Expense Carrying Amount a) Early Years Straight-line Units-of-production Diminishing-balance b) Total life Straight-line, units-of-production, diminishing-balance I need help with the statements on Depreciation Expense
Depreciation Expense | Carrying Amount | |
a) Early Years | ||
Straight-line | ||
Units-of-production | ||
Diminishing-balance | ||
b) Total life | ||
Straight-line, units-of-production, diminishing-balance | ||
I need help with the statements on Depreciation Expense and Carrying Amount.
I need help with this question.
Contrast the effects of the three depreciation methods on (1) depreciation expense, (2) net income, (3) accumulated depreciation, and (4) carrying amount in each of the following: (a) the early years of an asset's life, and (b) over the total life of the asset. (a) Early years Straight-line Units-of-production Diminishing-balance (b) Total life Straight-line, units- of-production, diminishing-balance (1) Depreciation Expense Same each year Varies with number of units produced Decreases each year All three result in the same total depreciation expense (2) Net Income Constant charge (depreciation expense) to income Impact on income will vary with the number of units Increasing income each year because depreciation e All three result in the same total impact on net inconStep by Step Solution
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